You are on page 1of 18

Introduction

The name Mercedes Benz needs no introduction for the car enthusiastic people. Ever since its foundation this name has been associated with the world class brand of cars, trucks and buses. The two founding fathers, one is Mr. Karl Benz who first founded this company in 1871 and the two others Mr. Gottlieb Daimler and Mr. Wilhelm May Bach, who founded the division of Mercedes Benz called as Daimler AG in 1890.

History
Mercedes Benz is currently a division of the parent company, Daimler AG(formerly DaimlerChrysler AG) The headquarters of the Mercedes Benz is located at Baden- Wurttemberg and Stuttgart in Germany. On June 28, 1926, Benz and DMG finally merged as the Daimler-Benz company, baptizing all of its automobiles, Mercedes Benz, honoring the most important model of the DMG automobiles, the 1902 Mercedes-35hp, along with the Benz name.

The Infamous Star


The Mercedes-Benz logo is one of the most famous and widely recognised trademarks in the world. The Benz logo is a simplistic three-pointed star that represents its domination of the land, the sea, and the air. It was first seen on a Daimler in 1909, and was combined with the Benz laurel wreath in 1926 to signify the union of the two firms. In 1916, the tips were surrounded by a circle, in which four small stars and the word Mercedes were integrated.

Mercedes Benz Sales Strategies & Targets

Sales Figures 2011


2011 was the best sales year in the history of the brand Mercedes-Benz. With 1,260,912 units sold and an increase of 8.0% compared to the prior year the previous sales record of 2007 were clearly exceeded. Since the beginning of the year sales of the brand with the star having been up every month. Mercedes-Benz continued to do outstandingly well in China (including Hong Kong) last year, where the brand surpassed its sales record of 2010 by 30.6%.

Sales Figures 2011


Over the past twelve months, Mercedes-Benz also did well in the other BRIC countries. The previous years record sales were substantially exceeded. Mercedes-Benz also saw sales rise to all-time highs among others in Taiwan (+31.7%), South Korea (+18.8%), Mexico (+17.7%), Denmark (+15.0%), and Sweden (+12.2%). The development in Japan was also notable despite the strong earthquake in March

Positive outlook for 2012


In 2012 Benz will continue their product offensive and launch additional attractive vehicles on the market, which will likely give them a further boost. The vehicles will be spearheaded by the new A-Class, which will allow the brand to reach out more strongly to younger target groups. The new CLS Shooting Brake will look to underscore their leading role when it comes to innovative vehicle concepts and design.

Market Strategy
Mercedes-Benz tees off golf performance center tour at The Masters. Automaker Mercedes-Benz is strengthening its commitment and relationship to golf by hosting a mobile golf tour powered by the PGA of America. The connection between the PGA of America and Mercedes-Benz has existed since 2010.

Mercedes-Benz raffles vehicles for leukemia ball


Mercedes-Benz gave back to the community by donating two of its vehicles to be raffled off at the National Capital Area Chapter of The Leukemia & Lymphoma Societys 24th Annual Leukemia Ball in Washington. Mercedes is donating its 2011 Mercedes-Benz E350 Cabriolet as a grand prize at Washington DC's Leukemia Ball.

Mercedes-Benz to set up F1 driving academy at Buddh Circuit


Delhi to get its first Formula One driving academy by the end of 2011 at the Buddh International Circuit in Greater Noida. The news is that the legendary Michael Schumacher might even come to guide racing enthusiasts in the near future.

Financial Analysis
Value added 2010 2009 10/09

In millions of euros

% change

Daimler Group

2,773

-4,644

Mercedes-Benz Cars Daimler Trucks Mercedes-Benz Vans Daimler Buses

3,438 499 303 71

-1,865 -1,808 -181 36

. . . +97

Daimler Financial Services

160

-599

1 Adjusted

for tax effects of interest income

Reconciliation to net operating profit/loss

2010

2009

10/09

In millions of euros

% change

Mercedes-Benz Cars Daimler Trucks Mercedes-Benz Vans Daimler Buses

4,656 1,323 451 215

-500 -1,001 26 183

. . . +17

Daimler Financial Services

831

EBIT of the divisions

7,476

-1,283

Income taxes 1 Other reconciliation

-2,154 -202

-589 -230

. .

Net operating profit (loss)

5,120

-2,102

Pricing Strategy
Flanking the competition Advertising with focus on the change in prices
Long run benefit of charging higher prices

BRANDING STRATEGY :

When Mercedes-Benz arrived in the American market, its cars were considerably more expensive than Cadillacs. The high prices created the perception that the Mercedes brand was somehow superior to the Cadillac brand. In other words, in a class by itself. (Nicely reinforced by its long-time advertising theme: Engineered like no other car in the world.)

THE BENZ BRANDING


Howdy Audi. Say hello to Suzuki. These names just dont have the poetry of Mercedes-Benz. Built like a Mercedes. Performs like a Mercedes. Priced like a regular car.

The best or nothing.

You might also like